President Donald Trump of the United States has announced a deal to access Ukraine’s rare earth minerals in exchange for the support provided by Washington during Russia’s invasion of Ukraine.
Trump mentioned at the White House that he is seeking “equalization” from Ukraine for the support amounting to nearly $375.8 billion.
He stated, “We are informing Ukraine about the valuable rare earth minerals they possess.”
“We are in talks with Ukraine to secure what we are providing them with their rare earth minerals and other resources,” he added.
According to the Kiel Institute in Germany, from January 2022 to October 31, 2024, the US has allocated 88.33 billion euros ($92 billion) to support Ukraine.
Germany is the second-largest supporter of Ukraine, providing $16.3 billion, followed by the UK at $15.3 billion.
German Chancellor Olaf Scholz criticized Trump’s proposal as “very egotistic” and “self-centered,” arguing that Ukraine will need its natural resources for reconstruction after the war.
Here is what we know about Ukraine’s rare earth minerals:
What are they?
Rare earth minerals are a group of 17 heavy metals, including the 15 lanthanides on the periodic table, scandium, and yttrium, found in the Earth’s crust globally.
The demand for these minerals has increased in recent years due to their use in electric cars, phones, and other high-tech devices.
China is the largest producer of rare earth minerals, extracting over 60% of the world’s supply and processing more than 90%, giving them a significant market share according to the Center for Strategic and International Studies.
How many rare earth minerals does the US import?
The USGS estimated that in 2023, the US imported rare earth compounds and metals worth $190 million, which was a decrease of 7% from the previous year.
In 2024, the US was reliant on China, Malaysia, Japan, and Estonia for 80% of its rare earth needs.
Besides the 17 heavy metals, the US is also seeking other critical minerals like tungsten, tellurium, lithium, titanium, and indium.
Ukraine has stated that its rare earth minerals and other critical minerals are located in six different locations across the country.
In 2023, Forbes estimated that Ukraine’s mineral resources, mainly coal and iron ore, were valued at $14.8 trillion, with more than 70% of the resources located in regions controlled partly or illegally by Russia.
President Volodymyr Zelenskyy of Ukraine mentioned that he proposed the idea of granting the US access to their rare earth minerals in September, open to investments from allies assisting in the war.
He called the idea an important economic point in his victory plan to end the long-standing conflict.
What has Russia said?
The Kremlin spokesperson Dmitry Peskov commented that Trump’s remarks suggest that Ukraine should “purchase assistance” on a commercial basis instead of receiving free aid.
Peskov expressed that it would be better for the US not to provide any assistance to Ukraine and focus on efforts to resolve the conflict.
